ETHICS · ETHICS

Ethical Dimensions: Marketing

Chapter notes, video classes, MCQ practice tests and quick-revision one-liners for Ethics in Banking — Ethics in Banking.

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One-liners from this chapter

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Q

How is 'ethical marketing' best defined in the context of banking?

A

Ethical marketing is aimed at promoting honesty, fairness and responsibility in advertising based on a set of laid-down guidelines.

Q

What is the ethical obligation of a bank regarding the actions of its Business Correspondents (BCs)?

A

The bank is fully responsible for its BCs' actions and conduct.

Q

What is the primary goal of ethical marketing in banking?

A

The primary goal is to promote honesty, fairness and responsibility in advertising and selling, ensuring customers are treated with integrity.

Q

What must banks regularly provide to Business Correspondent staff to prevent mis-selling?

A

Regular training on the Fair Practices Code and ethical considerations.

Q

Why is selling a product regardless of its suitability to the customer considered unethical in banking marketing?

A

Selling without regard to suitability constitutes mis-selling, which violates the ethical principles of fairness and responsibility toward the customer.

Q

How can a bank use Facebook's database for marketing its education-loan product?

A

By targeting students of a specific university and age group in a city.

Q

What role do laid-down guidelines play in ethical marketing within banking?

A

Laid-down guidelines provide the framework that governs honest, fair and responsible advertising and selling practices in banking.

Q

What kind of marketing concept is used when a bank targets ads based on customer demographics on social media?

A

Targeted digital marketing using customer segmentation.

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